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GRAINS-Wheat set for 4th weekly gain on Russia dryness; corn eases

Naveen Thukral

* Wheat down 1% but poised for weekly gains

* Corn faces 1st weekly loss in 4 weeks, eyes on U.S. planting

(Adds details, quote) SINGAPORE, June 7 (Reuters) - Chicago wheat futures slid 1% on Friday, but the market was poised for their fourth weekly gain as lack of rain in parts of Russia is likely to reduce yields in the world's top exporter of the grain. Corn and soybeans are facing weekly losses after rallying for the last three weeks with farmers in the United States expected to get a window of dry weather to seed crops. The most-active wheat contract on the Chicago Board Of Trade up half a percent for the week, having added 19% in four weeks. Corn down almost 2% so far this week and soybeans have dropped 1.2% this week, with both set for first weekly slide in a month. The wheat market is supported by fears of production losses in Australia and Russia amid dry weather. "Ukraine does not need much rain now but there is some dry weather is parts of Russia," said one Singapore-based grains trader. "This could have some impact on yields." Russia is expected to produce a bumper crop of 77 million tonnes in the year to June 2020, according to the U.S. Department of Agriculture (USDA) estimates, up from 71.7 million tonnes a year ago. Yields, however, could decline if the dryness persists. Markets are also closely watching how the winter wheat crop in the southern U.S. Plains and Midwest endured recent wet weather. Corn and soybean futures are facing pressure as the weather outlook across the U.S. Midwest continues to show a slightly wider-than-expected window for farmers to plant crops. The USDA reported export sales of U.S. soybeans in the week ended May 30 at 583,700 tonnes (old and new crop years combined), in line with trade expectations. The USDA said sales of U.S. corn fell far below trade expectations. In the week ended May 30, U.S. exporters sold 14,800 tonnes, including net cancellations of 8,700 tonnes of old-crop corn and net sales of 23,500 tonnes of new-crop corn. The U.S. market is concerned about trade tensions with Mexico, a top buyer of U.S. corn. Commodity funds were net sellers of CBOT soybeans, and net buyers of corn, soyoil and wheat futures contracts on Thursday, traders said.

Grains prices at 0330 GMT

Contract Last Change Pct chg Two-day chg MA 30 RSICBOT wheat 505.50 -4.50 -0.88% -0.34% 464.26 57CBOT corn 419.00 -1.50 -0.36% -1.47% 385.56 60CBOT soy 867.00 -1.75 -0.20% -1.67% 845.28 56CBOT rice 11.73 -$0.01 -0.09% +0.39% $11.12 71WTI crude 53.26 $0.67 +1.27% -0.41% $60.22

Currencies

Euro/dlr $1.127 $0.010 +0.90% +1.23%USD/AUD 0.6971 0.003 +0.48% +0.87%

Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential

(Reporting by Naveen Thukral, Editing by Sherry Jacob-Phillips)